...Innovation in Entrepreneurial Organizations The nature of entrepreneurial organizations is that they have the capabilities and competencies to create a culture of embedded behaviors that support the constant focus on identifying and subsequently taking advantage of profitable opportunities. In other words, they exist to find and take advantage of opportunities that have the highest potential return. Bateman (2010) states that, “…an entrepreneurial venture has growth and high profitability as primary objectives. Entrepreneurs manage aggressively and develop innovative strategies, practices, and products” (p. 238). Entrepreneurial organizations do this by being willing to try new things, challenge the status quo, and test out new processes. They encourage creativity, risk taking, and continuous learning and improvement. However creativity must then be harnessed and developed by innovation and it takes innovation to turn great ideas into something of value. Thus innovation should be considered fundamental to an entrepreneurial organization’s success. What then is innovation? Bruton (2012) says it well when he concludes that innovation is, “…a process of intentional change made to create value by meeting opportunity and seeking advantage.” (Innovation, para. 1). And although product innovation is a very important aspect of their business, it is only one area that entrepreneurs are interested and excited about. Rasmussen (2013) explains, “The very nature of innovation is changing...
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...The three pillars of GCUs College of Business are Entrepreneurial Spirit, Innovation and Servant Leadership. These are three key characteristics that are critical in building a strong foundation for students to succeed in their professional growth and in business. This paper reviews each of these pillars and how they apply personally to my work environment and career development. Entrepreneurial Spirit The entrepreneurial spirit is composed of multiple characteristics including but not limited to passion, vision, creativity, autonomy, and risk-taking. Possessing an entrepreneurial spirit is an important quality not just for individual success but for that of a business as well. For a business to maintain growth and sustainability it must maintain core competencies and have an entrepreneurial value system that it sticks to (Chaifetz, 2010). Chaifetz (2010), discusses how his company encourages the entrepreneurial spirit amongst his employees to be innovative and challenges them to think of new ideas. As his company has grown it has not fallen subject to common problems such as inflexibility, bureaucracy, and standardization that are often seen when companies expand. In fact, the approach is taken to provide employees with the tools and resources necessary to implement innovative ideas and tailor services for their customers. Not only does this method add to the entrepreneurial culture in the company it also lends to enhanced customer service directly impacting its success. I...
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...There are many entrepreneurs who come together as an organization and build an entrepreneurial culture to seek opportunities for innovations. An entrepreneurial culture is an environment where entrepreneurs are inspired to create new innovations. Innovation is basically to have a new idea, to change something from the old and make it new. The way people interact with one another and recognize their environment is all a part of a culture. In a business industry setting, entrepreneurial cultures are defined as the business owners getting together to inspire each other to brainstorm new ideas/ products, innovations. There are many companies out there that exemplify innovation. One that comes to mind and I believe everyone can agree is Apple Inc. Apple is known for their cell phones, however they are always improving. How many new phones have they come out with in just the last 2 years? They have phones with different data storage, different sizes, and they are always adding new ways to appease the consumer. But why is innovation important? I have listed a few examples stating why entrepreneurial organizations seek out probabilities for new innovation. One reason these entrepreneurial organizations seek opportunities for innovation is to offer their consumers new products/services. Their development of new products and approaches sharpens the industry which is in the long run is valuable to the consumer. New products and services are the essence of all businesses. This is crucial...
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...What is entrepreneurship? 1. Introduction An entrepreneur is one of the factors which very important to promote social and economic development and it are a best combine for the human capital, physical capital and social capital. Entrepreneurs are also engaged in the creative activity of innovators. Entrepreneurship is an entrepreneur, a quality, a way of thinking or an ideology. There are four major elements are significant with entrepreneurial spirit: enterprising spirit, adventure spirit, innovative spirit and social responsibility. Cultivating entrepreneurial spirit can shape the correct social values and create a good environment for the formation of the entrepreneurship. The essay has explained what is entrepreneurship and analysis of this topic. 2. Entrepreneurs Entrepreneurs are those who have innovative and enterprising spirit, and they can organize and utilize economic resources effectively. Usually entrepreneurs dare to take responsibility for business operation, and they have special qualities that create wealth for the enterprise and society. Entrepreneurs can be divided into three types: traditional entrepreneurs, entrepreneurs, and social entrepreneurs. Traditional entrepreneurs have including the creator of private business and outstanding leaders of state-owned business. The former is creating enterprise or make it stronger, and they must assume all operating risk of enterprise. They tend to be the supreme leader of enterprise or have the right of exercise...
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...Introduction Kenya has a vibrant entrepreneurial base with the potential of becoming competitive globally. There is a shift from manufacturing to a flexible labor based economy, a phenomena commonly referred to as knowledge based economy (Formica, 2005). Entrepreneurship as a whole contributes to social-economic wealth by creating new markets, new industries, new technology, new institutional forms, new jobs, and net increases in real productivity (Ngugi, 2014). Despite the vital role entrepreneurship plays in the economy, there are numerous challenges facing entrepreneurship development. The Micro and Small enterprises bear the brunt of it all (Pike 2007). It is estimated that as many as 75% of small enterprises started in Kenya fail within three years of their birth. Indeed an enterprise that is more than three years old is regarded as having achieved some measure of success. Therefore, there is the need to strengthen entrepreneurship to nurture nascent entrepreneurs and achieve the goal of enterprise development. The following are methods of strengthening entrepreneurship in Kenya: Strengthening financial systems The biggest challenge to entrepreneurial ventures is lack of capital to realize entrepreneurial dreams. A lack of resilient financial systems has been a hindrance to development of MSEs and hence entrepreneurship. A sound financial system therefore improves the entrepreneurial ecosystem. Private equity and venture capital are an important source of seed money...
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...this essay will explore the impact these factors have on companies. Smaller, more entrepreneurial businesses are rising through the ranks, and if the larger firms are to keep up and retain their market position, they need to follow suit, by behaving entrepreneurially. My key arguments here is organisations do need to behave more entrepreneurially due to globalisation, hyper competition, economic turbulence, technological change, industries merging, ever-changing customer needs and markets becoming saturated. This essay will mainly focus on the analysis of three large companies; IBM (International Business Machines), Marks & Spencer and Continental Tyres. I will analyse where the companies were going right or wrong, and where they could have become more entrepreneurial. I will touch upon relevant theories that firms have used and will mention other companies that aid my analysis on behaving entrepreneurially in larger businesses. Entrpreneurial Culture- What is it? There are two main cultures that concern this argument; the Traditional Culture and the Entrepreneurial Culture (see appendix 1.1). In a traditional culture, employees are expected to adhere to all instructions given, to not make mistakes, to not fail, to not take the initiative, and to stay within their limits. This type of culture is a very restricted one and is not conducive to the characteristics of an entrepreneurial culture; which are creativity, flexibility, independence, ownership...
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...Running head: JAMIE DIMON AND BANK ONE Jamie Dimon and Bank One Jamie Dimon and Bank One Successful entrepreneur and businessman Jamie Dimon was hired as the CEO of Bank One to analyze and correct many significant issues. Political infighting, rampant overhead costs, poor customer service, low morale, and outdated IT systems were only a few of the daunting problems plaguing the company. Dimon’s task was not an easy one: to use entrepreneurial thinking, innovation, risk-taking and decisive action to save Bank One from impending disaster (Marshall & Thedinga, 2006). Dimon’s Mission Dimon arrived at Bank One in March of 2000 as the new CEO. In addition to learning about the situation at the organization, Dimon was intent to uncover the truths behind Bank One’s challenge – the poor decisions and missteps taken that contributed to the current organizational challenges. Once uncovered, Dimon set out to synthesize his findings and deliver a plan of action that would save Bank One from a continued downward spiral (Marshall & Thedinga, 2006). Dimon’s Signals to the Organization Using his behavior, Dimon sent several very clear signals to the company. The first signal he sent was that he was strongly invested in Bank One’s future success, that he was a part of the Bank One ‘family.’ Dimon accomplished this by purchasing 2 million shares of the company, at a cost of $57 million. This reflected this theory that leaders should...
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...REFLECTING ON CAREER IMPLICATIONS… ((CHAPTER 1—INTRODUCTION) REFLECTING ON CAREER IMPLICATIONS… 1. Attributes of Strategic Management: How do your activities and actions contribute to the goals of your organization? Observe the decisions you make on the job. What are the short-term and long-term implications of your decisions and actions? Have you recently made a decision that might yield short-term profits but might negatively impact the long-term goals of the organization (e.g., cutting maintenance expenses to meet a quarterly profit target)? 2. Intended versus Emergent Strategies: Don’t be too inflexible in your career strategies; strive to take advantage of new opportunities as they arise. Many promising career opportunities may “emerge” that were not part of your intended career strategy or your specific job assignment. Take initiative by pursuing opportunities to get additional training (e.g., learn a software or a statistical package), volunteering for a short-term overseas assignment, etc. 3. Ambidexterity: Avoid defining your role in the organization too narrowly; look for opportunities to leverage your talents and your organization’s resources to create value for your organization. This often involves collaborating with people in other departments or with your organization’s customers and suppliers. 4. Strategic Coherence: Focus your efforts on the “big picture” in your organization. In doing this, you should always strive...
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...Entrepreneurship and Innovation Session 3: Entrepreneurial Strategy Baden U’Ren buren@bond.edu.au Level 4, Room 9 5595 2212 Overview Review of the readings Innovation and Entrepreneurship Entrepreneurship in a Corporate Context Entrepreneurial Strategy What is Innovation? Something NEW that creates VALUE What is Innovation? “Innovation is the specific tool of entrepreneurs, the means by which they exploit change as an opportunity for a different business or service. It is capable of being presented as a discipline, capable of being learned, capable of being practiced” - Peter Drucker Source: Schaper & Volery (2007) Entrepreneurship and Small Business 2nd Edition. Wiley. p.69 Creativity ideas, concepts & inventions Innovation the process of development and commercialisation Entrepreneurship couples opportunities and resources Innovation Exploit Incremental Explore Radical Kirzner The producer-entrepreneur •Alert and responsive to opportunities that exist •Exploits disorder (gaps) to move the market back to equilibrium Schumpeter The innovator-entrepreneur: •Creates products and processes to disturb market equilibrium •Creates opportunities Innovation & Performance Some ‘stylised facts’ about the relationships between innovation and performance: Relationships between R&D, patents, new products and performance are strongest at the industry level, weakest at the firm level Returns from process innovation are typically...
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...Assessment#1- Analysis of Understanding Entrepreneurial Leadership in Today’s Dynamic Markets fobjbdema BUS508 - Business Entreprise Dr.ddddddddd Discuss the common elements described in the theories/philosophies of Case, Kouzes, and Drucker including how their principles /strategies relate to the new definition of entrepreneurial leadership presented in Understanding Entrepreneurial Leadership in today’s Dynamic Markets. In discussing the new definitions entrepreneurial leadership as presented in “Understanding Entrepreneurial Leadership in Today’s Dynamic Market its probably best to describe the climate or environment which is often illustrated as one that is dynamic market , uncertain or a very competitive market which requires innovative thinking. In this type of market the fluidity, energy, motion, constancy and ubiquitousness of changes in the market occur very frequently and head to head competition between firms is common place and the pace, magnitude and direction of change is continuously accelerated and harder to predict. Teece, Pisano and Shuen (1997) as referenced by Fernald and Solomon in their paper, described today’s dynamic Schumpeterian world of innovation–based competition, price /performance rivalry, increasing returns and the ‘creative destruction of existing compeitencies.”(p.509) "creative destruction" was popularized by and is most associated with Joseph Schumpeter, particularly in his book Capitalism, Socialism and Democracy, first...
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...Factors influencing entrepreneurial intensity in communities Sibylle Heilbrunn Department of Business Administration, Ruppin Academic Center, Israel Abstract Purpose – The purpose of this paper is to explore the factors influencing entrepreneurial intensity. More specifically the study addresses the following objectives: propose a way to measure entrepreneurial intensity within the community context in order to determine entrepreneurial activity over a period of ten years, detect the factors influencing the entrepreneurial intensity, and finally locate Kibbutz communities on the entrepreneurial grid. Design/methodology/approach – Kibbutz communities are the level of analysis. Using a comprehensive questionnaire, a sample of 60 Kibbutzim – constituting 22 percent of the population of Kibbutz communities in Israel – was investigated over a period of ten years. The same questionnaire was administered to the same sample Kibbutzim (Kibbutzim is the plural of Kibbutz) in 1994, 1997 and 2004. Collected data include number and types of enterprises, economic strength, organizational size and age, and features of organizational structure and culture. Findings – Quantitative data analysis revealed a significant increase of entrepreneurial activity of Kibbutz communities in terms of frequency, degree and intensity of entrepreneurship. Organizational size and age have an impact on entrepreneurial intensity as well as the existence of an “entrepreneurial vehicle.” On the entrepreneurial grid Kibbutzim...
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...Introduction Arguably, researchers are increasingly acknowledging the importance of entrepreneurship in economic growth. Entrepreneurship in any society is influenced by various environments. Whilst entrepreneurship supports economic growth by turning knowledge into new products, new jobs and new firms, the entrepreneurial process is not full of roses; it comes with its own challenges. The writer will discuss about entrepreneurship, define concepts and sum up the discussion through a conclusion. Definition of key terms Entrepreneurship Timmons (2000), believes entrepreneurship is the process of creating or seizing an opportunity and pursuing it, regardless of the resources currently controlled. Wennekers and Thurik (2001) argued that entrepreneurship is the ability and willingness of individuals, on their own, in teams within and outside existing organizations, to perceive and create new economic opportunities (new products, new production methods, new organizational schemes and new product-market combinations) and to introduce their ideas in the market, in the face of uncertainty and other obstacles, by making decisions on location, form and the use of resources and institutions. Unlike Timmons (ibid), Wennekers and Thurik believe that entrepreneurship is not limited to creating or seizing a business opportunity, there has to be willingness and ability to perceive new economic opportunities(new products, new production methods, new organizational schemes and new...
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...Three Pillars Essay Grand Canyon University: UNV 504 Innovation and Entrepreneurship June 10, 2014 Three Pillars Essay In his video Ken Blanchard, discusses the three pillars of business; servant leadership, innovation and entrepreneurial spirit (Blanchard, 2011). Servant leadership is not being a servant to those that you work with, it is offering direction and vision with stated goals. It sets a platform for all employees to know where the company is headed, while focusing energy on the set goal. It requires that both management and employees live according to the vision with customers being the primary focus. Servant leadership if done correctly draws out the innovation in employees. It asks people to bring their ideas to work and put on their thinking caps to move towards better practices, efficient processes and more satisfied customers. It allows for the entrepreneurial spirit in employees to be developed. Employees not only become a part of the process for development and innovation, but partners in the business. They have a personal stake in the company which can build long term loyal employees working to sustain and grow for the customer, themselves and the business. Although servant leadership focuses on others and needs of the whole in most cases there could be some shortcomings to servant leadership. According to Lynch and Friedman servant leaders might easily focus more on the needs of the followers than the needs of the organization as a whole or considering...
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...ENTREPRENEURIAL INTENTIONS AMONG SME OWNERS. PROBLEM STATEMENT: The role of national culture is imperative in determining the behavior of individuals in all aspects of life. This behavior also guides individuals towards opting between doing job or starting a personal business. Small work has been seen crucial to investigate the affects of culture on development of entrepreneurial intentions of citizens in the country. Culture includes uncertainty avoidance, power distance, individualism versus collectivism, gender differences and long term orientation versus short term orientation. Our study will note that cultural elements for instance uncertainty avoidance, elevated power distance, collectivism, short term orientation and male dominancy are effecting adversely on the growth of entrepreneurial intentions in Pakistan. The research narrates the importance of national culture’s aspects to develop entrepreneurial culture in Pakistan. BACKGROUND: The power of change has impact all business entities from small to large. Every entity has to tackle with massive technological, geographical, political, economical, legal and social change. Although the dynamic environment has resulted as biggest challenge for the countries, they have somehow manage to nurture the opportunities with clear visions, resourceful synergies, loyal employees, sturdy organizational culture, team orientation and consistent policies. Thus it has been verified through researches that nations achieve...
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...Faculty of Economics MBA program Organizational Theory Module CREATING Entrepreneurship : Organizational pathways through Transformation Prepared by: Hussam Baravi Content: A. Entrepreneurship, Entrepreneurial Organization: The Concept of Entrepreneurship. Entrepreneurial Organization Factors. B. Into Transformation: The Concept. Slaughters Seven keys to success. 1|P a ge A. Entrepreneurship, Entrepreneurial Organization: In (Metaprofiling, 2013)1 study about the entrepreneurial organizations they differentiated between two concepts, entrepreneurs and entrepreneurial organization. Successful entrepreneurs are opportunists who, through their creativity, drive and vision, create economic or social value. They challenge conventional wisdom by practicing disruptive innovation — innovation that creates new markets through the application of a different set of values. They change the rules of the game by questioning the status quo and upping the stakes. It follows that an entrepreneurial organization can be defined as: An organization that places innovation and opportunism at its heart in order to produce economic or social value. However, for many organizations, this is only a brief moment in their evolution. And according to (Rodrigues et al,2003)2 entrepreneurial organizations, in fact, reflect the basic characteristics of its leadership. Filion shows a set of four indispensable characteristics of an entrepreneur. To have an idea, or a dream (a product) is for...
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